Florida resident who collected pension from her dead NYS pensioner is convicted

A Florida woman who collected five years worth of New York State pension checks after her father died has pleaded guilty to Grand Larceny, according to Comptroller Tom DiNapoli and Attorney General Eric Schneiderman.

They say Renee Kanas. of Tamarac,Fla. even took Caribbean cruises with the money.

Here are the details:

New York State Comptroller Thomas DiNapoli and Attorney General Eric T. Schneiderman announced that Renee Kanas, 63, a resident of Tamarac, Florida, pleaded guilty today to Grand Larceny in the Third Degree, a Class D felony, for stealing over $148,000 in pension payments from the New York State and Local Employees Retirement System paid to her father, Jacob Yudenfreund, a New York State pensioner who died in March 2010.
“For years, Ms. Kanas spent thousands, living off a pension to which she was not entitled, even cruising the Caribbean,” State Comptroller DiNapoli said. “Thankfully, through my Operation Integrity partnership with Attorney General Schneiderman, she has pleaded guilty and must make repayment in the thousands.”
“When individuals steal from New York’s pension system, the pain is felt by taxpayers statewide, and the fact that these funds were stolen from a deceased parent makes this all the more reprehensible,” Attorney General Schneiderman said. “This conviction exemplifies the commitment Comptroller DiNapoli and I have to our Operation Integrity partnership, and to ensuring New York taxpayer dollars are protected, and those who steal from our state’s pension fund are brought to justice.”
Having failed to notify the New York State and Local Employees Retirement System of her father’s passing in March 2010, today Kanas admitted to having stolen the pension benefits intended for Mr. Yudenfreund for almost five years after his death, until January 2015. In total, Kanas stole in excess of $148,000 by accessing a joint bank account she held with her deceased father and liquidating all but $1,207.55.
Mr. Yudenfreund was a New York State pensioner who elected to receive reduced monthly benefits so his wife, Doris Yudenfreund, would continue to receive benefits after his death. Mrs. Yudenfreund, however, predeceased Mr. Yudenfreund. As such, upon Mr. Yudenfreund’s passing in March 2010, his pension benefits ceased. However, due to Kanas’ failure to notify the New York State and Local Employees Retirement System of her father’s death, she continued to collect his pension benefits for approximately five years. During this time period, Kanas lived off of the stolen money and, among other things, took multiple cruises, including to the Caribbean.
In May 2016, Kanas was arrested on a warrant by City of Tamarac Road Patrol and Broward County Sherriff’s in Florida. Having been brought to Albany County to face these charges in June, Kanas today pleaded guilty before Honorable Thomas A. Breslin in Albany Supreme Court. As part of her plea, the defendant signed a confession of judgment in favor of New York State in the amount of $148,092.24. Kanas faces up to two to six years in state prison when she is sentenced.
The investigation was conducted by the New York State Comptroller’s Division of Investigations and the Attorney General. This case is the latest joint investigation under the Operation Integrity partnership of the Comptroller and Attorney General, which to date has resulted in dozens of convictions and more than $11 million in restitution.
Comptroller DiNapoli and the Attorney General thank the City of Tamarac Road Patrol and Broward County Sheriff’s in Florida for their assistance.
The Comptroller’s investigation was conducted by the Comptroller’s Division of Investigations, working with the New York State and Local Retirement System.
The Attorney General’s investigation was conducted by Investigator Mark Spencer, Investigator Casey Quinlan and Deputy Chief Antoine Karam. Forensic accounting was performed by Associate Forensic Auditor Meaghan Scovello. The Investigations Bureau is led by Chief Dominick Zarrella. The Forensic Audit Section is led by Chief Auditor Edward J. Keegan.
This case is being prosecuted by Assistant Attorney General Philip V. Apruzzese of the Criminal Enforcement and Financial Crimes Bureau. The Criminal Enforcement and Financial Crimes Bureau is led by Bureau Chief Gary T. Fishman and Deputy Bureau Chief Stephanie Swenton. The Division of Criminal Justice is led by Executive Deputy Attorney General Kelly Donovan.
Since taking office in 2007, DiNapoli has committed to fighting public corruption and encourages the public to help fight fraud and abuse. New Yorkers can report allegations of fraud involving taxpayer money by calling the toll-free Fraud Hotline at 1-888-672-4555, by filing a complaint online at investigations@osc.state.ny.us, or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 14th Floor, 110 State St., Albany, NY 12236.

Stop over-dramatizing, Schneidie. So she used some of the money to go on cruises. Would it make it better if she gave it to charity? How on Earth does something like this go undetected in this age of computer databases? Should have ticked off automatically the moment his death certificate was processed.

This would depend on where the father resided at time of death. If he lived in Florida, with the daughter, the death certificate would be filed there. Florida is under no obligation to inform New York of his death, nor would they have any reason to do so.

Schneiderwho? What a dope. In his fervor to make a sensationalized statement to the press, the Aspiring Governor got it wrong. “The fact that these funds were stolen from a deceased parent makes this all the more reprehensible.” No! She stole from the State Retirement System and not from her dead dad. Once the father died, neither the father nor the daughter was entitled to receive the father’s pension. The daughter stole it by continuing to collect it. What is reprehensible is Schneiderwho’s exaggeration and incompetence, and the ineptitude of his press staff. There’s not been a less competent AG since Dennis Vacco abused the Office. Even the Dark Prince was more competent and he was a disaster.

I guess you could list an adult child as a beneficiary if the pensioner choose either the five year certain or ten year certain plan. If that was what this pensioner had selected, then there would not have been a crime.

For many years New York State government has used a connection with Social Security for other purposes, and I assume Tax and Finance talks with the IRS. Annual verification would have uncovered this fraud a long time ago.

Was the pensioner’s death reported to social security? Maybe the woman has been collecting her fathers social security payments too. Maybe she filed tax returns to make it look like her father was alive, and keep the money flowing.
Who knows?

Funeral directors report deaths to Social Security on form SSA-721 to stop monthly SS payments (if any) and to enable survivors to claim the $255 death benefit.
If the daughter filed federal tax returns to cover her tracks then she also would have been nailed by the IRS, not just our AG.
That said, the NYS Comptroller’s office should have a verification procees in place instead of relying on retirees’ survivors to follow the law. Heck, I will bet the AG cannot prove the daughter even knew about the rules.

There was a legal way for the Father to make sure his Daughter was taken care of. It’s called the Joint Allowance. There are two options- one that keeps the full amount of your pension coming to your beneficiary, the other half the amount. The downside is, it reduces the retiree’s pension for life based on the age of the beneficiary. If the daughter was 20 years younger, the Dad would have taken a huge hit.
That being said, I seem to recall some provision in Federal Law that bars Social Security, the IRS and the FBI (now Homeland Security) from sharing info on which Social Security Number belongs too which person. I expected that to be the first thing fixed after 9/11 as part of the Patriot Act, but I was mistaken. In the age of the Computer and the Internet, running a background check on someone who wants to work in the US, purchase a firearm, or cash a pension check should take about thirty seconds, and if John Smith, SSN 123-45-6789 isn’t on the up-and-up, the search info should automatically pop up on a computer screen at the appropriate Federal law enforcement agencies. But seeing as how fixing it would disproportionately affect illegal aliens, I suppose that would be racist, bigoted and nativist.